Local trustees, whether elected or appointed, hold significant responsibilities in ensuring compliance with the Labor-Management Reporting and Disclosure Act (LMRDA), Department of Labor (DOL), and IRS provisions. It is crucial that these roles do not merely uphold local practices if they conflict with established regulations. Trustees should remain independent from the local executive board to avoid conflicts of interest.
The primary role of a trustee is to ensure union resources are used for legitimate purposes as authorized by membership, adhering to local constitutions and bylaws. They must also ensure compliance with financial reporting, recordkeeping, and bonding requirements.
Local affiliates should establish clear frequencies for audits, conducting them at least annually. If no constitutional language exists regarding audit frequency, it is advised to amend the constitution or pass a motion establishing time frames. During audits, trustees should review disbursements, receipts, compliance with DOL and IRS standards, and inventory local assets.
LMRDA provisions mandate that union officers and employees use funds solely for union benefit. Trustees serve as the first line of financial control alongside policies ensuring oversight.
Implementing written policies defines acceptable practices reflecting local values and principles. These documents promote uniformity in decision-making and operational procedures while clarifying functions and responsibilities. Policies aid in efficient management and swift problem resolution.
Involving officers and stewards when implementing policies fosters understanding and ownership among members. Local union officers are encouraged to adopt various policies such as Computer Access, Internet policy, Local Grievance Handling policy, among others.
Regular reviews ensure current policies align with changes within the local organization. Additionally, local officers should maintain computer backup procedures for financial files along with secure password access systems like QuickBooks. Important directives must be stored securely in a locked fireproof safe.
